Card Mandates

Overview

Card Mandates is one of the user preferred options for automating repeat payments for SIPs, insurance premiums, subscriptions, bill payments and wallet recharges.

Two Key Steps in Card Mandates

1. Mandate Registration

It is the process where a customer authorizes a merchant to deduct recurring payments using their debit or credit card. This setup can happen in two ways:

  • Customer-Initiated Transaction (CIT): The user enters card details and approves the mandate.

  • Merchant-Initiated Transaction (MIT): Used typically during migrations, where the merchant already has saved card details.

Note

The amount can be zero, or it may equal the order amount, depending on the payment journey.

2. Mandate Execution

Once a mandate is registered, it can be executed for recurring payments. These are Merchant-Initiated Transactions (MITs) and can be triggered at:

  • Regular intervals: daily, weekly, monthly, or quarterly

  • Ad hoc frequencies: based on merchant-specific use cases

Note

One-time mandates are a special case where the card is validated via $0 authorization. The actual charge is initiated later, closer to the fulfillment window.

Feature Details

  • Supported Payment Methods: Debit Cards & Credit Cards

  • Supported PA/PGs: CHECKOUT, HYPERPAY, NOON, ADYEN, STRIPE, CAREEMPAY

  • Supported Platforms: Android, iOS, Web, and mWeb

  • Juspay Integrations:

    • HyperCheckout (Payment Page)

    • Express Checkout SDK (EC Headless SDK)

    • Express Checkout API

    • PayV3 (iFrame integration for Web)

  • UX Configurable: Yes

  • Related Features: Tokenization, Retry Mandates, Payment Links

Feature Benefits

  • Customer Retention: Boost customer retention with automated recurring payments.

  • Consistent Revenue: Secure consistent revenue without relying on users to initiate payments.

  • Higher Success Rates: Improve payment completion with intelligent silent retries.

  • Ensure high user convenience with support for all major card brands; VISA, Mastercard, AMEX, Diners, and CUP.

  • Provide transparency and flexibility for users to view and manage their registered mandates.

Use Cases

  • Subscriptions:

    OTT platforms use subscription services of card mandates to automatically charge users for monthly or recurring subscriptions.

  • Utility Bills:

    Card mandates can be set up for automatic payment of utility bills like electricity, gas, and water.

  • Loan Repayments:

    Banks and financial institutions use card mandates to automate monthly payments for loans. 

  • Insurance Premiums:

    Insurance companies utilize mandates to collect premium payments on a recurring basis.

  • Wallet Top-Ups:

    Card mandates can be set up for automatic recharge of wallet top up

Quick Queries

Which card networks support mandates?

Will the card be stored when setting up mandates?

Last updated 9 months ago